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£51m for semiconductors in Newport

Vishay Intertechnology today announce major investment in Newport Wafer Fab, part of the growing semiconductor cluster in South Wales

One of the world’s largest manufacturers of discrete semiconductors and passive electronic components has announced today that it is investing £51m in Newport Wafer Fab, which is already the UK’s largest semiconductor facility. The investment brings with it the promise of new product range capabilities as well as skilled job opportunities for Newport and the region. 

a group of square objects

Photo by Maxence Pira

From phones and computers to power stations, semiconductors are essential components in almost all electronic devices. More than 1tn (1,000,000,000,000) semiconductors are now manufactured each year. While most are relatively simple silicon ‘chips’, about 20% now comprise two or more elements; these ‘compound semiconductors’ offer unique, specific properties. Research is ongoing into how these unique properties can be used in such tech as electric vehicles (EVs) and green energy. The new investment will enable further research into such potential application. 

The Welsh government has supported the new investment with £5m of funding, as part of its wider support for the compound semiconductor cluster in South Wales

Other recent efforts include government investment in the grid infrastructure at the 200,000 m2 site of KLA’s new European headquarters at Imperial Park in Newport, part of a $100m development to create a state-of-the-art innovation centre and manufacturing facility with cleanrooms for R&D and manufacturing. Some 750 employees are being recruited for the new site. 

In addition, the Welsh government supported development of the Centre 7 facility at Cardiff Gate, with tenants including Microlink Devices and CS Connected, and inward investors recognising Wales as a hotspot for the semiconductor industry. 

What’s more, Swansea University’s Centre for Semiconductor Materials is running a £2.5m new zero research project into ways to reduce building emissions from the semiconductor industry. This includes research agreements with sector businesses such as Vishay (which, in turn, boasts many Swansea alumni among its executives). Last month, Cardiff University hosted an international technical conference on semiconductor power devices. In spring 2025, Wales will welcome an inward mission by Canadian semiconductor companies.  

Rebecca Evans MS, Cabinet Secretary for Economy, Energy and Planning, says: ‘Compound semiconductors are all around us – in our homes and in our phones, our trains and our turbines. They are a vital, if miniature, piece of what makes the modern world tick, with extremely strong global growth projections. And we in Wales are increasingly a world-leading nation in their production and manufacture.  

‘Today that is more evident than ever, with our international reputation attracting significant inward investment, the provision and occupation of state-of-the-art facilities, clear links with R&D and well-paid opportunities for employment and apprenticeships. We are now, after a decade of seeding the cluster, reaping the rewards of our commitment which we will continue to drive forward.’ 

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Simon Guerrier
Writer and journalist for Infotec, Social Care Today and Air Quality News

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